New Delhi, Oct 04 (IANS): The Union Cabinet on Wednesday cleared tenancy regulations for the union territories of Andaman and Nicobar as well as Dadra and Nagar Haveli and Daman and Diu, to facilitate a legal framework for creating an accountable and transparent ecosystem for renting premises, official sources said.

The Union Cabinet approved a proposal for the promulgation of the Andaman and Nicobar Islands Tenancy Regulation, 2023, Dadra and Nagar Haveli and Daman and Diu Tenancy Regulation, 2023 and Lakshadweep Tenancy Regulation, 2023 under Article 240 of the Constitution.

Article 240 empowers the President to make regulations for union territories. The regulations will provide a legal framework for creating an accountable and transparent ecosystem for renting premises in the union territories by balancing the interests and rights of both the landlord and the tenant, an official statement said.

"The regulations will give a fillip to private investment and entrepreneurship in the rental market, create adequate rental housing stock for various income segments of the society, including migrants, formal and informal sector workers, professionals and students," it added.